I don’t work in the tech industry, but many small business owners like myself, have been able to increase sales and our customer base by using low-cost digital tools and platforms offered by various tech companies.
While lawmakers are eager to rush proceedings of a series of anti-innovation bills that aim to break up America’s largest, most innovative technology companies and restrict their lines of business, consumers and small business owners deserve to know how these bills will affect their privacy, the services they use and their business. I urge Congress to take more time to consider the unintended consequences these bills will have on consumers, small businesses, technological innovation and our national security.
Utah Sen. Mike Lee, ranking member of the anti-trust panel, recently made it clear in a recent hearing that antitrust proposals being considered in Washington are not the direction Congress should go. He recognized that this legislation has major security problems and consequences that would give foreign companies that are not covered by the bill more power.
This bill creates a double standard by regulating a handful of American tech companies like Apple, Google, Facebook and Amazon, while allowing other companies to engage in the same behavior. This double standard could affect consumers by giving them less relevant, and less helpful versions of services or products.
Similarly, these bills could prohibit search engines from giving high-quality, detailed results that we often rely on. Suppose you search for a restaurant near you. A detailed list of businesses would be provided with information about hours of operation, contact information, website and reviews. If this legislation passes, search engines may be banned from providing this useful information, causing frustration for many customers and retailers alike. These anti-innovation bills will weaken the consumer welfare standard and give the government even more power to regulate economic growth.
This double standard within anti-innovation bills would also put consumers’ security and privacy at risk. The National Taxpayers Union (NTU) has expressed serious concern over the bill becoming law, saying it would be disastrous not only to the targeted companies but also to consumers and small businesses within the digital economy. NTU is concerned because it could force American companies to take down protections and provide foreign companies, who are not bound by the same constraints with sensitive data on their users without their approval.
Lee has also expressed concern about giving federal agencies new power to redefine markets and control companies. Lee asked how much pro-competitive behavior could get caught in the bill and end up with the unintended consequence of the removal of popular products and services that helped consumers. On his website, Lee states, “This authority must be exercised carefully because government intervention tends to hinder, rather than empower, American innovators.”
I, like many others, believe Congress can develop strategies of national interest by talking directly to tech leaders. American tech companies have already agreed that improvements can be made and “updating technology regulations in areas like privacy, AI, and protections for kids and families could provide real benefits.”
We already have antitrust laws in place, and the federal government shouldn’t create unique competition legislation for every new sector of the economy, it’s simply not necessary. Competition policy was not designed to hinder growth or target companies, it was created to target barriers to competition and focus on harm to consumers.
Congress must act with a reasonable federal data privacy standard instead of attempting to break up American tech companies and their products. These anti-innovation bills could result in eliminating helpful tools and services small businesses and consumers use and enjoy, expose consumers to new security risks, and weaken America’s digital leadership. Lee is spot-on with his concerns about this rushed process and the unintended consequences that would follow if these bills were passed.
Joe Maughan is the owner of 9th & 9th Jewelers in Salt Lake City.
from The Salt Lake Tribune https://ift.tt/7yt0CoQ
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